Penang To Cash In On Disruptions Caused By Pandemic


 
Penang investment adviser Lee Kah Choon said there were new business opportunities created by the pandemic. (Bernama pic)GEORGE TOWN: Penang will adjust to the structural changes brought by the Covid-19 pandemic and geopolitical tensions, and capitalise on emerging opportunities for a sustainable, long-term recovery, the chief minister’s special adviser Lee Kah Choon said today.
Lee said the pandemic and US-China trade war had triggered a shift in business practices and prompted companies “to diversify their geographical footprint” and venture into locations such as Penang.
He said there were opportunities for Penang-based companies to “penetrate supply chains that were previously closed to us” and go into business areas previously monopolised by multinational companies.
He said the conditions of closed international borders, sluggish economic activities, periodic disruptions to manufacturing production and a deferment of direct investments were likely to continue at least through the first half of the year.

While the Covid-19 vaccine is already available, he said issues such as its efficacy, the ability to scale up production, distribution logistics and priority of vaccination remain unsolved.
Lee said the US-China trade war would continue despite the change in the US presidency, and potentially escalate with a more coordinated response against China from the industrialised world.
China would probably maintain its stance and not allow domestic policies and national security to be dictated by industrialised nations.
“Time is of the essence. The state will need to capitalise on this new wave of opportunities or face losing out to other countries in the race to fill the gap. To ride the wave, we need talent,” he said.
“Nurturing the talent pool is Penang’s utmost priority in 2021,” he said. - FMT


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